SNCR - Financial Crime Weekly: Ex-Cloud Firm CFO Cooks Books $6M Mispriced Library Bond | Benzinga
The former chief financial officer of cloud services provider Synchronoss Technologies (NASDAQ:SNCR) allegedly overstated the company’s finances to match revenue expectations it otherwise would have failed to meet.
Last week, a New York District Court granted the Securities and Exchange Commission partial summary judgment against Karen Rosenberger, aided and abetted by Joanna Lanni, a financial controller.
The SEC alleged that Rosenberger and Lanni engaged in accounting misconduct by publicly filing with the SEC false financial statements with respect to five transactions, and engaged in fraud concerning three of them.
The financial regulator further alleged that Rosenberger sought to cover up her misconduct by lying to the company’s auditor, falsifying its books and records and circumventing the firm’s system of financial controls.
The court granted the SEC’s motion against Rosenberger and Lanni, finding Rosenberger liable for fraud, and liable for reimbursement of $430,741 to Synchronoss.